Company Just in Time (JIT) is around 70% due to various reasons, because the most part of the company are labor intensive Such as lifting process, cutting process, and counting process. The whole process is take around 800 minutes. They are making 10,000 units is 1.5 days. Their Just in time is around 60%. Improvement in JIT inventory by New Recommended Process Our new process takes around 560 minutes. Most of the company parts are based on capital intensive that’s why we have reduced around 4 hours for making 10,000 unit. We are making 10,000 units in only 1 day. This process can rapidly increase our JIT. We have reduced around 30% time by eliminating waste, and improving machine. Our just in time is around 90%. Competitive Advantage: On time delivery due reliable suppliers and equipment. access to reduced factory costs in terms of direct labor rates, materials costs, and load costs that include indirect labor and fringe benefits access to process equipment avoiding tariffs, and other trade barriers closeness to customers and suppliers, better understanding of the market, faster response to the market access to low-costs associated with decreased inventory requirements, , work in process, and relations with customers and suppliers. Capitalizing more market share in terms of experience and contracts.
Page 25 CONCLUSION: One of the critical issue in the factory location decision process is the degree to which current decisions are made on the past experiences and get benefit out of them for future ease. They have made various location changes, now they should work more on their business growth. Copy manufacturing does not require immense technological requirements but more often a comprehensive prediction of future demand and of that factors to make policy of company to fulfill that demand. They are working on semi-automatic machines which require man handling for operations. This could be exchanged by more effective machines. This is a labor intensive industry so they must also work on their labor to enhance productivity and fulfill the needed requirements effectively. They should encourage and support work force education and skills mobility. Higher management must understand that they have the power to stimulate dramatic improvements in manufacturing effectiveness. They need to diversify more from copy manufacturing towards different registers and required paper products to capture that market and increase profitability of the company. RECOMMENDATION: They should computerize their work for better efficiency. Work more effectively on operational policy for effective growth. Set standard for their employees. Conduct training sessions. Timely motivation and let their employees know what they have achieved and what more is required of them. Diversify their work. Understand that global competition has raised the performance standards required for manufacturing success Constantly strive to provide customers with higher value-added embracing technological and skilled labor.
- Fall '17
- Papermaking, JIT inventory management